CITY OF MENIFEE
SUBJECT: Treasurer's Report - December 2025
MEETING DATE: February 18, 2026
TO: Mayor and City Council
PREPARED BY: Ann-Marie Etienne, Finance Manager
REVIEWED BY: Travis Hickey, Chief Financial Officer
APPROVED BY: Armando G. Villa, City Manager
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RECOMMENDED ACTION
1. Receive and file the Quarterly Treasurer’s Report as of December 31, 2025.
DISCUSSION
Attached is the signed monthly Treasurer’s Report for Cash and Investments as of December 31, 2025, and 4th Quarter (October 2025 – December 2025) Investment Review.
This Treasurer’s Report is distinguished from the regular monthly report in that it includes more in-depth disclosure and review of investment activities over the past three months. The City of Menifee’s investment objectives in order of priority, are to provide safety to ensure the preservation of capital in the overall portfolio, provide sufficient liquidity for cash needs and a market rate of return consistent with the investment program. To achieve these objectives, the City invests in high quality fixed income securities consistent with the current investment policy (Investment Policy CC-11) and California Government Code.
Quarterly Review: 4th Quarter (October 2025 – December 2025) Investment Summary With a favorable interest market throughout the period in review, the City’s investment portfolio continued to perform strongly during the 4 th quarter of 2025, yielding additional interest revenue to support municipal services. The City’s investment approach balances its investments between short-term investment portfolio to long-term investments. Beginning with the designation of the CFO as the City Treasurer in the fall of 2023, the City has taken some additional efforts to maximize its investments opportunities in a fiscally prudent, but proactive manner.
Overall Investment Portfolio Composition:
During the 4 th quarter of 2025, the City continued to participate in the California Asset Management Program (CAMP) investment pool program. Staff identified an opportunity to further diversify the current investment portfolio and thereby maximize investment opportunities by participating in this program. Also, during the 4th Quarter period, the City continued to participate
City of Menifee Staff Report
Treasurer's Report - December 2025
February 18, 2026
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in Local Agency Investment Fund (LAIF) and maintained long-term investments through the support of investment consulting firm Chandler Asset Management.
Overall Investment Portfolio Performance:
With respect to the City’s short-term investments, LAIF and/or CAMP investment pools, on Decemeber 31, 2025 CAMP’s rate was 3.95% while LAIF’s rate was 4.03%. The quarter ending December 31, 2025 produced the following results: CAMP accrued $857,698.24 in cash dividends and income. LAIF accrued $396,145.83 interest during the 4th Quarter period. On the longer-term investment component of the portfolio, Chandler accrued $1,314,887.97 interest during the quarter ending December 31, 2025. As is the case with most of the current fiscal year, the short- term investment yields have been providing higher returns than long-term investments as the Federal Reserve has sustained higher interest rates thus far. However, future changes in interest rates would most immediately impact the short-term rates received.
TABLE 1: QUARTER 4 OVERALL INVESTMENT PORTFOLIO PERFORMANCE Investment
Portfolio
Investment Type/
Investment Category
Beginning
Market Value
10/01/2025
Ending Market
Value
12/31/2025
Investment Returns
(Cash Dividends/
Interest)
CAMP Pool/ Short-Term 84,241,989.25 82,099,687.49 857,698.24 LAIF Pool/ Short-Term 36,264,441.01 36,660,586.84 396,145.83 Chandler
Asset
Management
City Investments/
Long-Term 133,849,266.89 137,489,979.30 1,314,887.97
Cash Held Outside City Funds:
As noted in the monthly Treasurer’s Report there are some specific funds held outside the City’s custody, and held instead by Wilmington Trust, designated trustee. These funds relate to the TRIP and Streetlight Retrofit debt service payments, as well as the bonded CFDs bond proceeds and debt service payments. Pursuant to the Trustee agreements in place, Wilmington Trust oversees the investment of these funds. The average yield return of these funds is summarized within the corresponding section of the Treasurer’s Report.
STRATEGIC PLAN OBJECTIVE
Thriving Economy
FISCAL IMPACT
There is no fiscal impact associated with the recommended action.
ATTACHMENTS
1. Treasurer’s Report as of December 31, 2025
2. CA Asset Management Program Statements October 2025
3. CA Asset Management Program Statements November 2025
4. CA Asset Management Program Statements December 2025
5. LAIF Investment Statements October 2025
City of Menifee Staff Report
Treasurer's Report - December 2025
February 18, 2026
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5 8
6. LAIF Investment Statements November 2025
7. LAIF Investment Statements December 2025
8. Chandler Monthly Account Statements October 2025
9. Chandler Monthly Account Statements November 2025
10. Chandler Monthly Account Statements December 2025